KOSPI and KOSDAQ indexes showed a downward trend in early trading on the 16th. The Korean won to U.S. dollar exchange rate rose again, which is interpreted as influencing foreign investors to take a 'sell' stance.
As of 9:12 a.m. on the 16th, the KOSPI index stood at 3179.92, down 35.36 points (1.1%) from the previous day, falling below the 3200 mark. At the same time, the KOSDAQ index recorded a decline of 7.15 points (0.88%), reaching 805.73.
In the KOSPI market, individuals are showing a 'buy' stance worth 287.4 billion won. Foreign investors and institutions are collectively net selling 161.3 billion won and 133.1 billion won, respectively. In the KOSDAQ market, individuals are net buying 71.6 billion won. Foreign investors and institutions are net selling 62.6 billion won and 8.2 billion won, respectively.
On this day, the Korean won to U.S. dollar exchange rate started trading at 1385.5 won, up 5.3 won from the previous day. The recent trend in the exchange rate has shifted, which is one of the factors leading to increased foreign investment in the Korean stock market.
There is significant influence from the inflation uncertainty triggered by the tariff policy of the U.S. Donald Trump administration. The U.S. consumer price index (CPI) increase rate for June, announced the previous day, met market expectations; however, prices for items such as home appliances and clothing showed an upward trend. Concerns have been raised that if the Trump administration imposes tariffs starting August 1, commodity prices could rise further.
Although expectations are prevalent that the U.S. Federal Reserve will cut interest rates twice this year, participants in the U.S. federal funds futures market are also increasingly reflecting the possibility that the cuts could happen only once. The dollar index, which indicates the value of the dollar against six major currencies, dropped to 96 earlier this month but has risen to 98.
Among the top 10 companies by market capitalization in the KOSPI market, only Samsung Electronics is showing a slight increase. SK hynix, Samsung Biologics, and LG Energy Solution are all experiencing declines.
In the KOSDAQ market, leading stocks such as Alteogen, Ecopro BM, HLB, and Ecopro started lower. Stocks of PharmaResearch and Peptron are trading at higher prices than the previous day.